8 Top Suggestions to Prepare Your Client for the Capital Markets

Rapid growth for a small business owner is a dream come true. Increases in sales and potential new clients, increased revenues and future opportunities all lead to higher net income and expansion if the management can navigate the growth well.

Small businesses tend to use application only Lessor’s to fund the equipment necessary to keep up with their growth. These purchases are usually under $150,000. As your business grows and equipment needs increase in volume and dollar amount Owners, CFO’s and Controllers turn to Bank Lessors or Large independents for funding.

Banks and Independent Lessors do not make a funding decision based solely on an individual beacon score. Billions of dollars in transactions are turned down each year because small companies are not prepared to receive an approval. Here are eight things you need to do as a broker to prepare your clients for the Capital Markets;

1. Have current “interim” statements completed
2. Have yearend statements completed and accurate
3. Have at least a one year forecast at all times
4. Have prior year Tax documents completed (if you filed an extension, provide the document)
5. Make sure that yearend internal statements “Foot” with your Fed Tax Documents
6. Have a completed Personal Financial Statement not older than 90 days old – Signed
7. Vendor invoice and equipment details
8. A brief summary on why the equipment is needed and what it will do for the company

Credit analysts are responsible to make approval or denial decisionson 15 to 20 credits per day. If all the information is not gathered and questions cannot be answered quickly and to their satisfaction then an automatic turn down is issued, the credit department simply moves on to the next transaction that have all of their docs in place.

Golden Rule – Have all your documents together, present them at one time – put your transaction in its best light and watch the approvals for your clients projects come pouring in!

We love all of the brokers we work with and in particular the unique, innovative and often challenging projects they bring to us. If we can help our equipment leasing broker network to stage some of their deals just a little better then we indeed have a win/win/win situation for all parties involved.

Equipment Leasing

Equipment Leases is a division of Wiworks, Inc. a Utah based lead broker. All requests for funding are submitted to premier lenders of choice to follow-up and provide leasing services. EquipmentLeases.net does not guarantee to fund any business and approval is at the sole discretion of the lender.